Nice Work if You Can Get It

Andrew Sullivan links to a few posts about the continual struggle to make the Internet pay. Personally, I find both sides of this online payment argument silly. Neither Felix Salmon nor Seth Roberts are on the mark, and neither of them really understand what motivates people to make payments for non-material goods delivered over the Internet.

Micro-payment for Internet content is not flawed in and of itself. Like so many nice ideas, though, it has few decent exemplars at this stage of the development of the Internet.

People will find a way to manage micro-payments, and some people will profit thereby. Why? Because people are willing to reward people for their contributions. Radiohead made significant profits from the online release of their album ‘In Rainbows’. Many people paid more than the recommended minimum contribution Radiohead requested. President Obama’s online campaign was premised not on sales but on the moral argument that people should participate in the process of change. The monetary exchange in each case was symbolic; it was not payment for services rendered but reward for exemplary behaviour.

This really is the crux of the issue: Internet content is part of a gift economy, an economy of plenitude that bears a stronger resemblance to the West Coast native practice of potlatch than anything Adam Smith might have envisioned.

Simply put, people don’t pay for things on the Internet; they don’t have to. So we create content as a labour of love, and if people value it, they reward us, first with their attention, then, in certain circumstances, with their material support.

I put all my columns and photos online simply out of a desire to communicate. The fact that I’ve been able to parlay this output into a consultancy that is earning me more now than my previous salaried position is more than a happy accident, that’s true. My web presence is my calling card. But I would publish my material online regardless. The bottom line is that I love the act of creation, and I feel gratified when people derive some value from it.

Some people have recognised my expertise in my particular niche of the online world – and its applicability to their needs – and that provides enough income enough to keep me working online. Their rewards make my online work possible.

Lastly: Seth’s response is based on a false premise. The vast majority of Open Source developers are well remunerated for their efforts. This is a perfect case in point: Those who benefit from an improved environment (in this case, commoditised, easily customised software) are usually willing to reward those whose work improves it.

None of us have a well-developed understanding of how things will play out in online content creation. But we have to stop thinking about it in terms of product and sale. It’s reward for services rendered.

Safeguarding the Internet Commons

[This week’s Communications column for the Vanuatu Independent.]

On January 5th, the Sydney Morning Herald published a story titled, “Dial X for Optus.” The feature recounted the story, by now well known in Vanuatu, of how Optus collaborated with certain Pacific Islands nations to make tens of millions of dollars in profit from the pornography industry.

The scheme,” wrote Vanda Carson, “allowed the telcos to bill customers premium rates for sexually explicit calls or X-rated downloads when they dialled the country codes” of many Pacific nations, Vanuatu included. “Optus was part of the partnership of telcos which acted as gatekeepers in the porn trade between the US and Europe and small Pacific islands.”

As if that wasn’t bad enough, Optus illegally appropriated 100 Vanuatu telephone numbers and kept all revenues generated by them.

None of that could happen today. With the creation of a functioning and effective Telecommunications Regulator, we now have proper oversight on how Vanuatu’s communications resources are used. The government of Vanuatu has made great strides in ensuring that all telephone operators manage their systems responsibly and efficiently.

Now we need to do the same for our Internet resources.

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Leviathan

[This week’s Communications column for the Vanuatu Independent.]

Here is the ocean, vast and wide, teeming with life of every kind, both large and small. See the ships sailing along, and Leviathan, which you made to play in the sea.” – Psalm 104

In 1651, an Englishman named Thomas Hobbes used the metaphor of the powerful, even unassailable aquatic giant of biblical lore to present the concept of the commonwealth. If we live as individuals, caring only for ourselves, he said, our lives could only be “solitary, poor, nasty, brutish, and short.

But if people can find their way to compromise with one another, to accept that respecting mutual rights is better for one and all, a person could “be contented with so much liberty against other men as he would allow other men against himself.” Hobbes contended that this commonwealth of like-minded people becomes strong enough to be unassailable – or at least better able to defend itself than any individual ever could. Leviathan emerges where only shoals of darting, frightened minnows existed before.

The Internet lends itself very well to such imagery. Individually, we are tiny minnows awash in a vast, sometimes unfriendly sea of information. Acting alone, we can find some good in it, but we are largely defenceless against the greater forces at work. If we join forces with our like-minded brethren, though, we can achieve great things. Not the least of these is a degree of safety, comfort and predictability in how we experience the Net.

Sometime very soon, Vanuatu’s Internet marketplace is going to be liberalised. The approach will be similar to that used to bring competition into the mobile telephony market. But there are a few significant differences….

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What Lies Ahead?

[This week’s Communications column for the Vanuatu Independent.]

Recently we’ve seen a bit of a lull in activity (or at least excitement) in the Vanuatu telecommunications sector. Customers are becoming a little blasé about choice in the mobile market. The mobile telephone incumbents have more or less established their positions, with TVL making real efforts to smoothe its complexion and Digicel allowing the first small warts to peep through its make-up.

The post-election transition of power slowed the policy process down some, and movements at the executive level meant that some of the local businesses needed a bit of a breather as well.

So let’s take this opportunity to do a little crystal ball gazing. What can businesses and Internet users generally expect in the coming months?

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Rebuilding the Nasara

[This week’s Communications column for the Vanuatu Independent.]

About a month ago, I gave a talk [Powerpoint File] to telecommunications network operators from all over the Pacific region. It dealt with the social aspects of Vanuatu’s communications revolution. Many of the themes I touched on will be familiar to readers of this column.

In a nutshell, I talked about Digicel’s approach to so-called marginal markets and how they relied on Network Effects to generate traffic where there had been none before. Once you have more than a certain percentage of the population using a particular means of communication, everyone else is compelled to join them, simply because everybody is using it.

Mobile telephone services significantly enhance one – and only one – important aspect of Vanuatu culture. They enable family members and friends to stay in touch with one another much more easily than they could before. This has the effect of strengthening some of the bonds that keep small groups together. As such, it should be viewed as a positive reinforcement of many of the things that we hold dear.

But in Vanuatu society, there’s more to communication than conversations between family members. We’ve so far succeeded in re-creating the kitchen conversation by electronic means. But we have no nakamal, no nasara. We have no meeting place we can truly call our own.

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